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Punjab is located in the northwest corner of the country. It is bounded by Jammu and Kashmir state of India in the north, Himachal Pradesh and Union Territory of Chandigarh in the east, Haryana and Rajasthan in the south and Pakistan in the west.

Chandigarh is the administrative capital of Punjab. Farming is the main occupation of the people of Punjab and is the backbone of the state's economy. Major industries include textiles, sewing machines, sporting goods, starch, fertilizers, bicycles, scientific instruments. Electrical equipment, electrical goods and machine tools and sugar and pine oil processing.